1. So do the Palestinians.
2. Perhaps Palestine would be a bit more productive if 1.5 million of them didn't live in an open-air prison? Or weren't treated like second-class citizens in Israel? Having said that, many, many Palestinians working in Israel are 'productive' - judges and members of the Knesset, for example.
3. And why are Israeli lives worth more than Palestinian lives? The comparatively few deaths of Israelis affected by the rocket attacks don't mean that the Israelis have the license to kill many, many more Palestinians, as if their lives were worth more. (Having said that, Hamas do some terrible things and I do not in any way condone the rocket attacks.) Have Israel not learned from the forefathers of their state, when the Jews were oppressed by the Nazis? I'm not calling what they do to the Palestinians similar in any way to Nazi Germany's actions, by the way. Or maybe they should have learned from their biggest ally, the United States and their failures during the Vietnam war? Many Vietnamese people who were pro-US became pro-Viet Cong because it was the US that was burning their villages and their children. The whole idea of trying to destroy a terrorist group through this kind of war simply doesn't work, because the whole base is the idea - if this is the way that people see that they can resist Israel, or resist the Americans then for many that's exactly what they'd turn to. The Viet Cong had such high morale because they truly believed in their cause to reunite Vietnam and whatnot, but the Americans... not so much. Plus, whilst Hamas shouldn't have placed their rockets near that hospital, surely Israel could have dismantled it with their ground offensive that they were supposed to be doing? As opposed to murdering many, many innocents who may have been anti-Hamas? If Hamas appears to be the only solution to stopping the Israelis then there are many, many people who will take that option, especially if it's as revenge for their dead brothers, sisters, mothers, fathers, friends...
Israel is pretty much shooting fish in a barrel. See it in their eye - Fatah in the West Bank is basically powerless. Look at how many settlements are being built there. Of course some people will side with Hamas, rightly or wrongly (very wrongly imo but how can you blame them if that's all they have?). The fact of the matter is, Israel should be trying to stop these attacks without making more people have more reason to join Hamas. Israel most certainly does NOT want peace (even if they may have in the past) and I'm fairly sure that's the best for humanity. Doing the human equivalent of shooting fish in a barrel is basically dehumanising them with every air strike.
4. So does Palestine. See above.
Also, you do realise Gaza literally has nothing? Hardly any paper to write with for kids to learn, no construction, not enough medicine, etc etc. Half of those things - more than half - can't be used for military purposes. I cannot see why Israel is so intent on trying to starve out Gaza. This is the exact reason why Hamas put the end of the blockade in the ceasefire terms. This is also why people resort to joining Hamas and the rocket attacks - because they can't see a way out. Hamas is just Israel (and Egypt's - along with the Muslim Brotherhood) enemy to them, a scapegoat, someone to blame all their problems on and to use as a cover when things do not go well. If Israel REALLY wanted to protect itself, perhaps it shouldn't resort to tactics that will only increase support for Hamas and the rocket attacks. It doesn't work like that. The Arabs have done many, MANY bad things against the Israelis. But so are the Israelis now - things much worse, tbh.
Put yourself in the shoes of the Palestinians to understand a little. Even if you don't agree with their view.